ITS 201
Terms
undefined, object
copy deck
- ECSC
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European Coal and Steel Community
1951
Germany, France, Italy, Benelux
common market--common pricing, lower tariffs, economic free zone - EEC
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European Economic Community
Common Market 1957
Treaties of Rome
expanded added more industries and agricultural products and goods
Economic union--reduction of tariffs/barriers free move of capital goods and services - Schehgen Agreement
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1985
border control
got ride of controls and free movement of people for tourism, ect
any member of EU can move around w/o passport - Maastrict Treaty/Treat on the European Union
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1992
no longer EEC drop economic off--EU
3 pillars)
1. european community, ecnomoic and political integration
2. common foreign policy and security
3. police and judicial cooperation
monetary unit: euro - convergence criteria to the EU
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political stable democracy
rule of law
protect minorities
functioning market economy
EU oblligations and acceptance of all EU laws - Import Substitution Industrialization
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ISI
nationalist strategy
promoted industrialization
international borrowing
created national industries
negative: still dependent on foreign tech.
little economic growth
little incentive - Debt Crisis 1980s
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needed loans for ISI
high energy prices
inflation
high interest rates - Structural Adjustment Programs
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SAPs
short term loans
conditions designed to balance a nations budget
cut gov. spending
eliminate trade barriers
privatize national industries
devalue national currency
results:
poor suffered
did not reduce LA debt
economic policy taken out of the hands of ind. nations - Alliance for Progress
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promote economic and social reform
US help people reform before socialism can spread - NAFTA at 10
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positives:
created jobs
trade deficiet into surplus
lower or no tariffs, higher productivity lower costs
lessening of gap b/t rich and poor
foreign direct investment up
negatives:
causes mexico to be dependent on US
industry improvement agriculture declined and loss of arg jobs
no increased standard of living
hugh dispartity b/t north and south
US and Canadian economies are growing at a faster rate
not domestic industry, money goes back to other countries - characteristics of African economy
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type-- mining, agriculture, herding and grazing, oil
75% or more of exports
primary products
FDI: low
exceptions in mineral areas or oil areas
Foreign aid and debt
HIPC problems of debt oil crisis
main trading parter is the EU and MIddle east
unequal distribution of wealth - regional economic integration impediments in Africa
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dependence on a few primary products
underdevelopment of human capital
poor infrastructure
political instability and corruption
african debt burden
proliferation of regional organizations - Sudan colonial past
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North (ethnic arbs and muslims) vs. South (trad african religions and christians)
South wants more power
2 civil wars
1958- south wants more power
1983 oil and islamic gov.
Darfur
control and access to national resources b/t farmers and herders
janjaweed - Rwanda colonial past
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Hutu vs. Tutsi
(more african) vs. (more european)
Hutu revolution b/c belgiums had favorered tutsis and created animosity and left power to them
Hutu Revolution 1959
October war 1990-1993
RPF
Arusha Accords
right of return
power sharing - democracy in africa
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pro:
elections high voter turnout
counted fairly
more info available by internet, cell phones, radio, satellite
democracy already exists in some and is spreading
90 percent held multiparty elections
aid
con:
violence is so high
unstable with most land and people
weak civil society
rural areas--60-90 percent of pop
corruption
small amounts of leaders with power and money
no effective means of checks and balances
civil wars
gov bad spending with money given from donors